HomeMy WebLinkAbout2016-01-06 MINUTES Cottage
� Grove
�here Pride and Q�osperity Meet
MINUTES
COTTAGE GROVE CITY COUNCIL
COUNCIL CHAMBER
12800 RAVINE PARKWAY SOUTH
January 6, 2016
CALL TO ORDER— Mayor
The City Council of the City of Cottage Grove, Washington County, Minnesota, held a
regular meeting on January 6, 2016, at Cottage Grove City Hall, 12800 Ravine Parkway
South. Mayor Bailey called the meeting to order at 7:00 p.m.
PLEDGE OF AL�EGIANCE
The audience, staff, and Mayor and City Council Members recited the Pledge of
Allegiance.
ROLL CALL— City Clerk
The following were present: Mayor Myron Bailey, Council Member Steve Dennis,
Council Member Justin Olsen, Council Member Jen Peterson, Council Member Dave
Thiede.
Also present were: Charlene Stevens, City Administrator; Korine Land, City Attorney-
LeVander, Gillen & Miller, PA; Ryan BurFeind, Project Engineer; Les Burshten, Public
Works Director; Joe Fischbach, HR Manager/City Clerk; Jennifer Levitt, Community
Development Director/City Engineer; Robin Roland, Finance Director; Craig Woolery,
Public Safety Director.
OPEN FORUM
Mayor Bailey asked if anyone in the audience wished to address the Council on any
item that was not on the agenda. As no one wished to address the Council, Mayor
Bailey closed the Open Forum.
Mayor Bailey presided over the meeting.
1. ADOPTION OF AGENDA
CITY OF COTTAGE GROVE • 12800 Ravine Parkway . Cottage Grove, Minnesota 55016
www.cottage-grove.org •651-458-2800 • Fax 651-458-2897 . Equal Opportunity Employer
;Cottage Grove City Council,
January 6, 2016
Page 2
Motion by Council Member Thiede, second by Council Member Dennis, to adopt
the agenda as presented. Motion carried: 5-0.
2. PRESENTATIONS — None.
3. APPROVAL OF MINUTES
A. December 16, 2015 City Council Regular Meeting minutes.
Mayor Bailey and the Council Members approved the minutes as presented.
4. CONSENT CALENDAR
Council Member Thiede wished to pull Item K, adoption of the 2016 — 2020
Capital Improvement Plan for discussion. He wished to explain that the money
that was listed in the plan for the HERO Center for this year and again in two
years, totaling millions of dollars, was the total cost for that program, which will
be shared by Cottage Grove, Woodbury, and the State. �
A. Accept and Place on File the Following Minutes:
i. Planning Commission Meeting Minutes from November 23, 2015.
B. Schedule the local Open Book meeting at Cottage Grove City Hall on April 5,
2016, from 5:00 — 7:00 p.m. and acknowledge the three regional meetings
held in Washington County, as follows: City of Oakdale, April 13, 2016, from
5:00— 7:00 p.m.; City of Woodbury, April 21, 2016, from 5:00 — 7:00 p.m.;
City of Stillwater, April 27, 2016, from 2:00 —7:00 p.m.
C. Adopt Resolution 2016-001 approving the Public Purpose Expenditure Policy
for 2016.
D. Designate the South Washington County Bulletin as the City's Official
Newspaper for 2016.
E. Adopt Resolution 2016-002 reclassifying Interfund loan between ED Trust
Fund (#286) and Golf Course Fund (#255).
F. Adopt Resolution 2016-003 finding that there is no need to prepare an
Environmental Impact Statement (EIS) for the Southeast Industrial Park
development and that the Environmental Assessment Worksheet (EAW)
prepared for the development supports that finding.
G. Adopt Resolution 2016-004 approving the preliminary plat and final plat for
Stewart Addition, which creates five rural residential lots on property located
at 9866 Kimbro Avenue South
H. Approve the Stormwater Management Agreement with South St. Paul Agri-
Properties .
I. Approve the revised assessment appeal waiver agreement for Light the Way
Church.
J. Adopt Resolution 2016-005 updating the Personnel Policy with changes to
Cell Phone reimbursement.
Gottage Grove City Council
January 6, 2016`
Page 3
K. Adopt Resolution 2016-006 adopting the 2016 — 2020 Capital Improvement
Plan.
L. Adopt Resolution 2016-007 designating depositories for 2016.
Motion by Council Member Thiede, second by Council Member Peterson, to
approve the Consent Calendar. Motion carried: 5-0.
5. RESPONSE TO PREVIOUSLY RAISED OPEN FORUM ISSUES — None.
6. PUBLIC HEARINGS
A. 1. Hold the public hearing for the 2016 Pavement Management Project.
2. Consider adopting a resolution ordering the 2016 Pavement Management
Project and authorizing preparation of plans and specifications for D2, F3, F5,
80th Street, and Oakwood Park.
Engineer BurFeind reviewed the various methods of resurFacing the City
streets and/or replacing them for 2016:
• District D2 is near 95th Street and Hadley Avenue, and they're
proposing full street replacement and full curb replacement and spot
utility repairs. They're also proposing installation of new street light
wires and conduit. There are 172 assessable residential properties,that
will split the estimated assessment cost of$4,760; the average annual
assessment is $435.
• Districts F3 and F5 are residential areas near 80th Street and Keats
Avenue; those two districts will have full pavement replacement and
spot curb replacement. They're also proposing spot repair on the
sidewalk that runs along Johansen Avenue and Joliet Avenue. There
are 266 assessable residential properties that will split the estimated
assessment cost of$3,620; the average annual assessment is $330.
• Also, work on 80th Street from Ideal Avenue to Jamaica Avenue will be
completed, including spot curb replacement, full pavement
replacement, and proposed resurFacing of the bituminous trails along
80th Street. There is only one residential property on 80th Street. The
Church of St. Rita's estimated assessment was more than $87,000;
however, the special benefit appraisal came back at $36,700, so their
proposed assessment cost is $36,700.
They anticipate construction will start in the spring and will be completed in
the fall of 2016, with an assessment hearing in October, 2016. If the
assessments are adopted, they may be paid within 30 days to avoid any
interest charges. Assessments will be payable over 15 years with the interest
rate at 1.5% above the bond rate. Deferrals are also available.
;Cottage Gro�e City Councii,
January 6, 2016
Page 4
Mayor Bailey and the Council Members posed questions for Engineer
BurFeind and Engineer Levitt regarding some of the streets involved and
associated costs, as well as increased work-truck traffic that will occur.
Mayor Bailey opened the public hearing:
Jane Glasow, 8448 Jody Court, stated she lives on a small cul-de-sac, on a
corner lot, so when snowplows come through, the street stripping is
intensified and the curbs are stripped. She asked how they were going to
plow in the future to prevent the excessive damage. She also asked which
company or contractors would be used and which asphalt they would use, as
she had heard that there were problems with the last asphalt they had used.
Mayor Bailey stated the stripping she's seeing might be due to the age of the
asphalt. He stated they have a rigorous process regarding choosing a
contractor to do the work. Engineer Levitt stated right now they have not yet
hired a contractor, as they were just in the planning process, but they had
quality requirements in place that bidders had to meet. As they moved into
the bid award phase of the project, they could communicate those details to
the residents in a neighborhood meeting. Council Member Olsen stated
MnDOT also had very stringent specifications regarding the mix that is used
and the type of aggregate.
Rick Rudolph, 8340 Johansen Avenue, stated he thought money had been
put aside for future assessments when the houses in District F3 and F5 were
built. He also had questions about the payment options available for the
assessments. Mayor Bailey advised the developer puts money in for the first
seal coating for the first year; otherwise, what's done to the streets in that
area are built into the price of the house because it's part of the cost per lot
where the house was built. Engineer Levitt stated the assessment would not
occur until the end of the projects when the actual costs of the project are
known; the cost will then be distributed among the owners of the lots. In
October, owners would receive the actual assessment proposed and there
would be a hearing held. Owners would have 30 days to pay; if nothing is
paid at that point, it would be added to the property taxes in May 2017, and it
would be split between the two tax bills for 15 years at 1.5% above the bond
rate, with an interest rate of approximately 4.5%. There is an option for a
minimum payment of$500 (to be paid in October-November); any remaining
amount would be added to the property taxes. Council Member Olsen stated
residents could pay the assessment off at any time without penalty, and it
could also be extended.
Mr. Rudolph asked if properties with sidewalks would be assessed more; he
said sidewalks had previously been replaced without any assessment. He
;Cottage Grove City Council
:lanuary 6, 2016
Page 5
also asked about the length of the project, from start to finish. Council
Member Olsen stated everyone pays for the sidewalks, not just the properties
that have them, as everyone can use them just like the streets. Engineer
Levitt advised citizens would be inconvenienced anywhere from four-to-six
weeks, depending on the weather, but they would be notified once the work
process had been established, the phase in which their specific street would
be completed, etc.
As no one else wished to speak, Mayor Bailey closed the public hearing.
Motion by Council Member Olsen to adopt Resolution 2016-008 ordering the
2016 Pavement Management Project and authorize preparation of plans and
specifications for D2, F3, F5, 80th Street, and Oakwood Park, second by
Council Member Peterson. Motion carried: 5-0.
B. 1. Hold the public hearing considering creation of Tax Increment Financing
District 1-16 (Gardenworld). 2. Consider adopting a resolution modifying
Development District#1, establishing TIF District 1-16, adopting the TIF plan
for the District. 3. Consider adopting a resolution authorizing an InterFund loan
for the advance payment of costs in connection with TIF District 1-16.
Director Roland stated this is a sale by the EDA/City of a piece of land to
Gardenworld; the sale of the land is at a price that is less than the market
value. The developer builds and that building increases the tax base, and the
difference between what the land would have been taxed at and the new tax
value is what is called the tax increment, or the incremental difference
between the two. That tax increment then comes back to the EDA for a period
of time to reimburse the EDA for the less than market value price that was
originally charged to the developer who bought the land. The tax increments
will average approximately $47,000 a year, which will come back to the
EDA/City, and totals approximately $126,000. In order for the money to be
reimbursed under State Statute, the City would also have to pass an InterFund
loan resolution in order to loan the money, approximately $300,000, between
the ED Trust Fund and the TIF District. As the payments come in, the amount
of the loan is reduced.
Mayor Bailey opened the public hearing; as no one wished to speak, Mayor
Bailey closed the public hearing.
Council Member Olsen made a motion to adopt Resolution 2016-009
modifying Development District#1, establishing TIF District 1-16, and
adopting the TIF plan for the District, second by Council Member Dennis.
Motion carried: 5-0.
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;Cottage Grove City Council
January 6,-2016
Page 6,
Council Member Olsen made a motion to adopt Resolution 2016-010
authorizing an InterFund loan for the advance payment of costs in connection
with TIF District 1-16, second by Council Member Thiede. Motion carried: 5-0.
7. BID AWARDS - None.
8. UNFINISHED AND NEW BUSINESS
A. Consider adopting a resolution providing for the issuance and sale of
$4,940,000 G.O. Refunding Bonds, Series 2016A, and pledging tax
abatement and levying a fee for their security and payment.
Director Roland stated that the City had sold bonds today. One of the City's
financial advisors, Sean Lentz, was present to give the results of that sale.
Director Roland stated the bonds were essentially refinancing the Sanitary Sewer
bonds and the Ice Arena bonds so the City will be able to pay off the loan that it
has with the EDA for the Ice Arena so the City will then own the Ice Arena.
Mr. Lentz stated the City carries a bond rating of AA+ with Standard & Poor's; he
stated that's a fantastic rating and only one step below the very best rating that
the City could have. If the City had received material improvement in its market
value and income indicators, Standard & Poor's could consider raising the rating;
however, the City has no control over those factors. He stated there were 13 bids
on the bonds today, which is outstanding; the winning bid at 1.56% was from
Wells Fargo.
Director Roland requested the motion be amended to $4,660,000 (from
$4,940,000) as that was the actual amount that had been sold.
Motion by Council Member Olsen made an amended motion to adopt Resolution
No. 2016-011 authorizing issuance and sale of$4,660,000 in G.O. Refunding
Bonds, Series 2016A, second by Council Member Thiede. Motion carried: 5-0.
B. Review City Council meeting schedule for 2016.
Mayor Bailey stated the August 3 and August 17 regular meetings will be
canceled because those are budget meetings. The regular meetings will be
scheduled at 7:00 p.m. on: January 6, January 20, February 3, February 17,
March 2, March 16, April 6, April 20, May 4, May 18, June 1, June 15, July 6, July
20, August 10, September 7, September 21, October 5, October 19, November
2, November 16, December 7, and December 21. The special budget workshop
sessions will be scheduled at 6:00 p.m. on July 27, August 3, and August 17. The
meeting on August 24 will be a budget all-commissions meeting to allot what
they've decided on the budgets for the following year. A district goal-setting
workshop is scheduled for January 15 and January 16, 2016, for the Council and
staff.
;Cottage Grove City Council
January 6, 2016
Page 7
Motion to approve the City Council meeting schedule by Council Member Thiede,
second by Council Member Peterson. Motion carried: 5-0.
C. 1. Consider appointing Steve Dennis as Mayor Pro Tem for 2016. 2. Consider
ratifying Mayor Bailey's appointments of representatives or liaisons to various
commissions and committees for 2016.
At the first meeting of every year, the Mayor is required to appoint a Mayor
Pro Tem as acting Mayor in his absence. This year Mayor Bailey has selected
Council Member Dennis as Mayor Pro Tem.
Commission and committee appointments are:
• Economic Development Authority: Mayor Bailey and Council Member
Dennis.
• Historic Preservation Advisory Committee: Council Member Thiede.
• Human Services/Human Rights Commission: Council Member
Peterson.
• Planning Commission: Council Member Thiede.
• Parks, Recreation, & Natural Resource Commission: Council Member
Olsen.
• Public Safety & Public Works Commission: Council Member Olsen.
• Strawberry Festival: Council Member Thiede.
• Investment Committee: Council Member Dennis and Council Member
Olsen.
• Red Rock Corridor Commission: Council Member Peterson.
• South Washington County Cable Telecommunication Commission:
Council Member Thiede.
• Watershed District: Community Development Director/City Engineer
Levitt.
• Holiday Train Committee: Mayor Bailey and Council Member Dennis.
• Environmental Commission: Council Member Thiede.
• Community Center Task Force: Council Member Olsen and Council
Member Dennis.
• Beyond the Yellow Ribbon: Council Member Peterson.
• Minnesota High Speed Rail: Council Member Peterson.
• Arts Commission: Council Member Olsen.
• River Oaks Committee: Mayor Bailey and Council Member Dennis.
Mayor Bailey recommended that the City combine the Public Safety and
Public Works Commissions into one Commission. If approved, Council
Member Olsen will work with the Commission members and the staff to
facilitate that combination.
;Cottage Grove City Council
January 6, 2016
Page 8
Mayor Bailey also recommended the City suspend the Human
Services/Human Rights Commission for a period of time, as several meetings
in 2015 were cancelled for lack of a quorum or agenda items. Rather than
having a planned meeting, a meeting could be called as needed if the City
needed to address something.
Council Member Olsen stated regarding the combination of the Public Safety
and Public Works Commissions, he supported that but wondered if some
Commission members might not feel that way. He also wondered about the
number of Commission members on each Commission, especially with
combining some of them, and asked City Clerk Fischbach for that information.
Administrator Stevens stated they'd provide that information and also added
that with some members' terms expiring, the combined Commissions should
not have too many members. Council Member Olsen also asked how many
Commissioners should be on the newly-combined Commission. City Clerk
Fischbach stated that all of the Commissions are in the City Code, so if the
number of Commissions and/or Commissioners were to change, the City
Code would have to be updated.
Motion by Council Member Olsen to appoint Steve Dennis as Mayor Pro Tem
for 2016, second by Council Member Peterson. Motion carried: 5-0.
Motion by Council Member Dennis to ratify Mayor Bailey's appointments of
representatives or liaisons to various commissions and committees for 2016,
second by Council Member Thiede. Motion carried: 5-0.
9. RESPONSE TO PREVIOUSLY RAISED COUNCIL COMMENTS AND
REQUESTS — None.
10. COUNCIL COMMENTS AND REQUESTS
Council Member Peterson stated on January 13 the Red Rock Corridor
Commission will have an open house at the St. Paul Park City Hall from 5:00
p.m. to 7:00 p.m. Washington County and Ramsey County staff will also be there
to listen to citizens' concerns and speak about the options along the Highway 61
Red Rock Corridor for mass transit and the route it will take.
Council Member Peterson stated the next discount grocery-buying opportunity,
Fare For All, which is open to the public, will take place on January 14 at All
Saints Lutheran Church. This also helps support our local nonprofit to help
supply food for emergency food shelves.
Council Member Peterson stated with the recent snowfalls it was important for
citizens to remember to shovel out fire hydrants on their property.
Cottage Grove City Council
January 6, 2016
Page 9
Mayor Bailey stated on January 29, from 5:00 to 7:00 p.m., there will be Skate
Night at the Highlands Park pond; the pond will be lit up with lights, there will be a
bonfire, and hot cider and cookies will be served.
Mayor Bailey stated on Fridays, from February 5 to March 25, there will be fish
fries at River Oaks Golf Course from 4:00 to 8:00 p.m.
Mayor Bailey stated the Chamber's Trap & Skeet Tournament will take place on
the 3M property on April 30, at 10:00 a.m. It is a new fundraising event that the
Chamber of Commerce is hosting. There will also be instruction provided.
- Mayor Bailey stated from April 28 through April 30, a City-wide garage sale will
take place. More information will follow on the City's website and Facebook
postings.
Mayor Bailey stated his father-in-law had a stroke earlier in the week; 9-1-1 was
called, and the ambulance, police, and paramedics were there extremely quickly.
He felt the Public Safety personnel (including Officer Ziebarth, who was the first
to arrive) did an amazing job caring for and transporting his father-in-law to the
hospital. Mayor Bailey heard nothing but positive comments from his mother-in-
law and the next-door neighbor who was present. He stated we keep talking
about how good our service is here and when able to personally experience it, it
meant a great deal and he thanked all of them.
11. PAY BILLS
Motion by Council Member Thiede, second by Council Member Peterson, to
approve payment of check numbers 194356 to 194641 in the amount of
$1,104,335.15 and EFT Payment of$199,314.10. Motion carried: 5-0.
12. WORKSHOP SESSION — OPEN TO PUBLIC — None.
13. WORKSHOP SESSION — CLOSED TO PUBLIC — None.
ADJOURNMENT
Motion by Council Member Peterson, second by Council Member Olsen, to adjourn the
regular meeting at 8:37 p.m. Motion carried: 5-0.
Minutes prepared by Judy Graf and reviewed by Joe Fischbach, HR Manager/City
Clerk.